Ceramic Industry News

Janpanese Electronic Parts Makers Hit by Murata's Pessimism

May 23, 2001
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Shares in Japanese electronic parts makers slid recently, led lower by Murata Manufacturing Co Ltd after it disappointed the market with unexpectedly gloomy forecasts for sales and profits this business year. In what analysts called a "negative surprise," Murata, which makes capacitors for cell phones and other info-tech goods, announced forecasts for a nearly 50% fall in consolidated operating and net profit for the year from April 1, much worse than analysts' estimates. The announcement fuelled worries that the recent chill in the high-tech sector would batter earnings at Japanese components manufacturers more severely than the market had expected.

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